pdlb-8k_20180331.htm

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report: May 9, 2018

 

PDL Community Bancorp

(Exact name of Registrant as Specified in Its Charter)

 

 

Federal

001-38224

82-2857928

(State or Other Jurisdiction

of Incorporation)

(Commission File Number)

(IRS Employer

Identification No.)

 

 

 

2244 Westchester Avenue

Bronx, NY

 

10462

(Address of Principal Executive Offices)

 

(Zip Code)

Registrant’s Telephone Number, Including Area Code: (718) 931-9000

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. 

 

  

 


 

Item 2.02Results of Operations and Financial Condition

On May 9, 2018, PDL Community Bancorp, (the “Company”), the holding company for Ponce Bank, issued a press release announcing its financial results for the three months ended March 31, 2018.  The Company’s press release is included as Exhibit 99.1 to this report.

The information set forth in this Item 2.02 and in the attached Exhibit 99.1 is deemed to be “furnished” and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended ( the “Exchange Act”), or otherwise subject to the liabilities of that Section.

Item 9.01Financial Statements and Exhibits.

(d) Exhibits.

 

Exhibit Number

 

Description

 

 

 

99.1

 

Press release dated  May 9, 2018

 

 


 

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

 

 

PDL Community Bancorp

 

 

 

 

Date:  May 9, 2018

 

By:

/s/ Carlos P. Naudon

 

 

 

Carlos P. Naudon

 

 

 

President

Chief Executive Officer

 

 

pdlb-ex991_6.htm

Exhibit 99.1

PDL Community Bancorp Announces 2018 First Quarter Results

New York (May 9, 2018): PDL Community Bancorp, (the “Company”) (NASDAQ: PDLB), the holding company for Ponce Bank (the “Bank”), reported net income of $941,000, or $0.05 per basic and diluted share for the quarter ended March 31, 2018 compared to net income of $563,000 for the same period in 2017. The Company was formed on September 29, 2017 in conjunction with the reorganization of Ponce De Leon Federal Bank, Ponce Bank’s predecessor, into Ponce Bank Mutual Holding Company, a mutual holding company. Accordingly, the Company’s financial results of prior periods are solely those of Ponce Bank.

“As we head into our first full calendar year as a public company, we are heartened that the key initiatives we have focused on are delivering expected results, and more,” said Steven A. Tsavaris, Executive Chairman. Carlos P. Naudon, President and CEO, noted that “we are pleased to report $24.3 million in internal loan growth during the first quarter of 2018, or a 12.3% annualized rate of growth.”  

Net Interest Income

Net interest income was $8.7 million for the quarter ended March 31, 2018, up $1.4 million, or 19.2%, from $7.3 million for the quarter ended March 31, 2017. The increase in net interest income for the quarter ended March 31, 2018 compared to the same period in 2017 reflects a $1.9 million, or 21.8%, increase in total interest and dividend income offset by an increase of $537,000, or 35.9%, in total interest expense. The net interest rate spread and net interest margin were 3.61% and 3.95%, respectively, for the quarter ended March 31, 2018 compared to 3.88% and 4.09%, respectively, for the same period in 2017. The increase in interest and dividend income is primarily due to growth in the investor-owned one-to-four family, multifamily, nonresidential, and construction and land loans, that provided an increase in average outstanding loans of $154.3 million or 23.3%, for the quarter ended March 31, 2018 compared to the same period in 2017. The yield on loans decreased to 5.16% for the quarter ended March 31, 2018 from 5.26% for the same period in 2017. The increase in interest expense is primarily due to an increase in average certificates of deposits of $67.8 million or 18.7% for the quarter ended March 31, 2018 compared to the same period in 2017. The cost on certificates of deposits increased to 1.65% for the quarter ended March 31, 2018 from 1.47% for the same period in 2017. The cost of all interest-bearing liabilities increased to 1.26% for the quarter ended March 31, 2018 from 1.05% for the same period in 2017.

Noninterest Income

Noninterest income was $885,000 for the quarter ended March 31, 2018, up $127,000, or 16.8%, from $758,000 for the same period in 2017. The increase is mainly attributed to gains of $176,000 on loans sold combined with an increase of $28,000 in prepayment charges related to mortgage loans offset by decreases in late charges on loans of $23,000, brokerage commission income of $21,000, and line of credit fees $16,000.

Noninterest Expense

Noninterest expenses were $8.3 million for the quarter ended March 31, 2018, up $1.2 million, or 16.9%, from $7.1 million for the same period in 2017. The increase is mainly attributed to an increase of $629,000 in total compensation and benefits expense which included $189,000 in Employee Stock Ownership Plan expense and an increase of $425,000 in professional services.

Asset Quality

Nonperforming assets decreased to $9.3 million or 0.98% of total assets at March 31, 2018 from $11.4 million or 1.23% of total assets at December 31, 2017. The decrease is mainly attributed to decrease in nonaccruals of $847,000 in investor-owned one-to-four family residential, a decrease of $383,000 in owner-occupied one-to-four family residential, a decrease of $521,000 in multifamily residential properties, a decrease of $272,000 in nonresidential properties and a decrease of $117,000 in business loans.  Additionally, 3 non-accruing loans totaling $1.8 million were sold for a net gain of $142,000 during the quarter. One of the loans sold included a recovery of $170,000.

Provision for loan losses was $94,000 for the quarter ended March 31, 2018, compared to $52,000 for the same period in 2017. The allowance for loan losses was $11.4 million, or 1.37%, of total loans at March 31, 2018, compared to $11.1 million, or 1.37%, of total loans at December 31, 2017. Net charge-offs totaled $5,000 for the quarter ended March 31, 2018, compared to $10,000 for the same period in 2017.

 

Balance Sheet

Total assets increased $24.1 million, or 2.6%, to $949.6 million at March 31, 2018 from $925.5 million at December 31, 2017. Net loans increased $24.3 million, or 3.0%, to $823.0 million at March 31, 2018 from $798.7 million at December 31, 2017. The increase in net loans was primarily attributed to increases of $15.9 million in multifamily residential and $7.3 million in nonresidential properties.

1


Total deposits increased $38.3 million, or 5.4%, to $752.3 million at March 31, 2018 from $714.0 million at December 31, 2017. The increase in deposits was primarily attributed to increases in certificates of deposits of $26.9 million and an increase of $7.0 million in demand deposits.

Total stockholders’ equity was $165.7 million at March 31, 2018 compared to $164.8 million at December 31, 2017. The Company and the Bank exceeded all regulatory capital requirements to be deemed well-capitalized at March 31, 2018. The Bank’s total capital to risk-weighted assets ratio was 20.55%, the tier 1 capital to risk-weighted assets ratio and the common equity tier 1 capital ratio was 19.29%, the tier 1 capital to total assets ratio was 14.27% at March 31, 2018 compared to 20.73%, 19.48%, and 14.67% at December 31, 2017 respectively.

The Annual Meeting of Stockholders of PDL Community Bancorp will be held at our administrative office located at 2244 Westchester Avenue, Bronx, New York 10462 on May 10, 2018, at 10:00 am, local time.

About PDL Community Bancorp

PDL Community Bancorp is the holding company for Ponce Bank. The Bank’s business primarily consists of taking deposits from the general public and investing those deposits, together with funds generated from operations and borrowings, in mortgage loans, consisting of one-to-four family residences (investor-owned and owner-occupied), multifamily residences, nonresidential properties and construction and land, and, to a lesser extent, in business and consumer loans. The Bank also invests in securities, which have historically consisted of U.S. Government and federal agency securities and securities issued by government-sponsored or -owned enterprises, as well as, mortgage-backed securities and Federal Home Loan Bank stock. The Bank offers a variety of deposit accounts, including demand, savings, money market and certificates of deposit.  

Forward Looking Statements

Certain statements herein constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements may be identified by words such as “believes,” “will,” “would,” “expects,” “project,” “may,” “could,” “developments,” “strategic,” “launching,” “opportunities,” “anticipates,” “estimates,” “intends,” “plans,” “targets” and similar expressions. These statements are based upon the current beliefs and expectations of the Company’s management and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements as a result of numerous factors. Factors that could cause such differences to exist include, but are not limited to, adverse conditions in the capital and debt markets and the impact of such conditions on the Company’s business activities; changes in interest rates; competitive pressures from other financial institutions; the effects of general economic conditions on a national basis or in the local markets in which the Company operates, including changes that adversely affect borrowers’ ability to service and repay the Company’s loans; changes in the value of securities in the Company’s investment portfolio; changes in loan default and charge-off rates; fluctuations in real estate values; the adequacy of loan loss reserves; decreases in deposit levels necessitating increased borrowing to fund loans and investments; operational risks including, but not limited to, cybersecurity, fraud and natural disasters; changes in government regulation; changes in accounting standards and practices; the risk that intangibles recorded in the Company’s financial statements will become impaired; demand for loans in the Company’s market area; the Company’s ability to attract and maintain deposits; risks related to the implementation of acquisitions, dispositions, and restructurings; the risk that the Company may not be successful in the implementation of its business strategy; changes in assumptions used in making such forward-looking statements and the risk factors described in the prospectus and Quarterly Reports on Form 10-Q as filed with the Securities and Exchange Commission (the “SEC”), which are available at the SEC’s website, www.sec.gov. Should one or more of these risks materialize or should underlying beliefs or assumptions prove incorrect, PDL Community Bancorp’s actual results could differ materially from those discussed. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. The Company disclaims any obligation to publicly update or revise any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes, except as may be required by applicable law or regulation.

2


PDL Community Bancorp and Subsidiaries

Consolidated Balance Sheets

(Dollars in thousands, except for share data)

 

 

 

As of

 

 

 

March 31,

 

 

December 31,

 

 

September 30,

 

 

June 30,

 

 

March 31,

 

 

 

2018

 

 

2017

 

 

2017

 

 

2017

 

 

2017

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and due from banks:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash

 

$

6,570

 

 

$

24,746

 

 

$

4,716

 

 

$

4,096

 

 

$

4,557

 

Interest-bearing deposits in banks

 

 

52,409

 

 

 

34,978

 

 

 

51,629

 

 

 

5,400

 

 

 

11,947

 

Total cash and cash equivalents

 

 

58,979

 

 

 

59,724

 

 

 

56,345

 

 

 

9,496

 

 

 

16,504

 

Available-for-sale securities, at fair value

 

 

28,422

 

 

 

28,897

 

 

 

29,312

 

 

 

29,668

 

 

 

51,937

 

Loans held for sale

 

 

 

 

 

 

 

 

 

 

 

2,143

 

 

 

2,143

 

Loans receivable, net

 

 

823,014

 

 

 

798,703

 

 

 

767,721

 

 

 

732,520

 

 

 

677,525

 

Accrued interest receivable

 

 

3,202

 

 

 

3,335

 

 

 

3,132

 

 

 

2,917

 

 

 

2,749

 

Premises and equipment, net

 

 

27,684

 

 

 

27,172

 

 

 

25,729

 

 

 

25,599

 

 

 

25,687

 

Federal Home Loan Bank Stock (FHLB), at cost

 

 

1,673

 

 

 

1,511

 

 

 

1,448

 

 

 

1,288

 

 

 

2,089

 

Deferred tax assets

 

 

3,801

 

 

 

3,909

 

 

 

5,563

 

 

 

3,378

 

 

 

3,378

 

Other assets

 

 

2,848

 

 

 

2,271

 

 

 

3,013

 

 

 

5,987

 

 

 

4,241

 

Total assets

 

$

949,623

 

 

$

925,522

 

 

$

892,263

 

 

$

812,996

 

 

$

786,253

 

LIABILITIES AND STOCKHOLDERS' EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

$

752,267

 

 

$

713,985

 

 

$

698,655

 

 

$

702,406

 

 

$

655,882

 

Accrued interest payable

 

 

61

 

 

 

42

 

 

 

32

 

 

 

31

 

 

 

26

 

Advance payments by borrowers for taxes and insurance

 

 

6,999

 

 

 

5,025

 

 

 

5,967

 

 

 

4,661

 

 

 

5,670

 

Advances from the Federal Home Loan Bank and others

 

 

20,000

 

 

 

36,400

 

 

 

15,000

 

 

 

8,000

 

 

 

28,000

 

Other liabilities

 

 

4,582

 

 

 

5,285

 

 

 

4,101

 

 

 

3,224

 

 

 

3,201

 

Total liabilities

 

 

783,909

 

 

 

760,737

 

 

 

723,755

 

 

 

718,322

 

 

 

692,779

 

Commitments and contingencies

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stockholders' Equity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Preferred stock, $0.01 par value; 10,000,000 shares authorized, none issued

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common stock, $0.01 par value; 50,000,000  shares authorized; 18,463,028 shares issued and outstanding

 

 

185

 

 

 

185

 

 

 

185

 

 

 

 

 

 

 

Additional paid-in-capital

 

 

84,419

 

 

 

84,351

 

 

 

84,099

 

 

 

 

 

 

 

Retained earnings

 

 

95,796

 

 

 

94,855

 

 

 

97,719

 

 

 

100,929

 

 

 

99,805

 

Accumulated other comprehensive loss

 

 

(8,052

)

 

 

(7,851

)

 

 

(6,257

)

 

 

(6,255

)

 

 

(6,331

)

Unearned compensation - ESOP

 

 

(6,634

)

 

 

(6,755

)

 

 

(7,238

)

 

 

 

 

 

 

Total stockholders' equity

 

 

165,714

 

 

 

164,785

 

 

 

168,508

 

 

 

94,674

 

 

 

93,474

 

Total liabilities and stockholders' equity

 

$

949,623

 

 

$

925,522

 

 

$

892,263

 

 

$

812,996

 

 

$

786,253

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3


PDL Community Bancorp and Subsidiaries

Consolidated Statements of Income (Loss)

(Dollars in thousands, except per share data)

 

 

 

For the Quarters Ended

 

 

 

March 31,

 

 

December 31,

 

 

September 30,

 

 

June 30,

 

 

March 31,

 

 

 

2018

 

 

2017

 

 

2017

 

 

2017

 

 

2017

 

Interest and dividend income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest on loans receivable

 

$

10,386

 

 

$

10,106

 

 

$

9,893

 

 

$

9,581

 

 

$

8,592

 

Interest and dividends on investment securities and FHLB stock

 

 

324

 

 

 

221

 

 

 

271

 

 

 

123

 

 

 

202

 

Total interest and dividend income

 

 

10,710

 

 

 

10,327

 

 

 

10,164

 

 

 

9,704

 

 

 

8,794

 

Interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest on certificates of deposit

 

 

1,750

 

 

 

1,599

 

 

 

1,574

 

 

 

1,428

 

 

 

1,316

 

Interest on other deposits

 

 

185

 

 

 

168

 

 

 

176

 

 

 

161

 

 

 

151

 

Interest on borrowings

 

 

98

 

 

 

83

 

 

 

66

 

 

 

32

 

 

 

29

 

Total interest expense

 

 

2,033

 

 

 

1,850

 

 

 

1,816

 

 

 

1,621

 

 

 

1,496

 

Net interest income

 

 

8,677

 

 

 

8,477

 

 

 

8,348

 

 

 

8,083

 

 

 

7,298

 

Provision for loan losses

 

 

94

 

 

 

1,219

 

 

 

238

 

 

 

207

 

 

 

52

 

Net interest income after provision for loan losses

 

 

8,583

 

 

 

7,258

 

 

 

8,110

 

 

 

7,876

 

 

 

7,246

 

Noninterest income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges and fees

 

 

223

 

 

 

224

 

 

 

231

 

 

 

225

 

 

 

229

 

Brokerage commissions

 

 

96

 

 

 

94

 

 

 

167

 

 

 

168

 

 

 

118

 

Late and prepayment charges

 

 

211

 

 

 

207

 

 

 

157

 

 

 

235

 

 

 

211

 

Other

 

 

355

 

 

 

169

 

 

 

213

 

 

 

256

 

 

 

200

 

Total noninterest income

 

 

885

 

 

 

694

 

 

 

768

 

 

 

884

 

 

 

758

 

Noninterest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Compensation and benefits

 

 

4,458

 

 

 

5,104

 

 

 

4,220

 

 

 

3,956

 

 

 

3,829

 

Occupancy expense

 

 

1,491

 

 

 

1,588

 

 

 

1,412

 

 

 

1,400

 

 

 

1,425

 

Data processing expenses

 

 

408

 

 

 

293

 

 

 

316

 

 

 

413

 

 

 

448

 

Direct loan expenses

 

 

155

 

 

 

171

 

 

 

189

 

 

 

184

 

 

 

195

 

Insurance and surety bond premiums

 

 

89

 

 

 

64

 

 

 

44

 

 

 

79

 

 

 

82

 

Office supplies, telephone and postage

 

 

300

 

 

 

317

 

 

 

250

 

 

 

282

 

 

 

254

 

FDIC deposit insurance assessment

 

 

68

 

 

 

4

 

 

 

122

 

 

 

58

 

 

 

66

 

Charitable foundation contributions

 

 

 

 

 

 

 

 

6,293

 

 

 

 

 

 

 

Other operating expenses

 

 

1,290

 

 

 

1,195

 

 

 

884

 

 

 

623

 

 

 

797

 

Total noninterest expense

 

 

8,259

 

 

 

8,736

 

 

 

13,730

 

 

 

6,995

 

 

 

7,096

 

Income (loss) before income taxes

 

 

1,209

 

 

 

(784

)

 

 

(4,852

)

 

 

1,765

 

 

 

908

 

Provision for income taxes (benefit)

 

 

268

 

 

 

2,081

 

 

 

(1,643

)

 

 

641

 

 

 

345

 

Net income (loss)

 

$

941

 

 

$

(2,865

)

 

$

(3,209

)

 

$

1,124

 

 

$

563

 

Earnings per share for the period:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

0.05

 

 

$

(0.16

)

 

N/A

 

 

N/A

 

 

N/A

 

Diluted

 

$

0.05

 

 

$

(0.16

)

 

N/A

 

 

N/A

 

 

N/A

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

4


PDL Community Bancorp and Subsidiaries

Consolidated Statements of Income

(Dollars in thousands, except per share data)

 

 

 

For the Three Months Ended March 31,

 

 

 

2018

 

 

2017

 

 

$

 

 

%

 

Interest and dividend income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest on loans receivable

 

$

10,386

 

 

$

8,592

 

 

$

1,794

 

 

 

20.88

%

Interest and dividends on investment securities and FHLB stock

 

 

324

 

 

 

202

 

 

 

122

 

 

 

60.40

%

Total interest and dividend income

 

 

10,710

 

 

 

8,794

 

 

 

1,916

 

 

 

21.79

%

Interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest on certificates of deposit

 

 

1,750

 

 

 

1,316

 

 

 

434

 

 

 

32.98

%

Interest on other deposits

 

 

185

 

 

 

151

 

 

 

34

 

 

 

22.52

%

Interest on borrowings

 

 

98

 

 

 

29

 

 

 

69

 

 

 

237.93

%

Total interest expense

 

 

2,033

 

 

 

1,496

 

 

 

537

 

 

 

35.90

%

Net interest income

 

 

8,677

 

 

 

7,298

 

 

 

1,379

 

 

 

18.90

%

Provision for loan losses

 

 

94

 

 

 

52

 

 

 

42

 

 

 

80.77

%

Net interest income after provision for loan losses

 

 

8,583

 

 

 

7,246

 

 

 

1,337

 

 

 

18.45

%

Noninterest income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service charges and fees

 

 

223

 

 

 

229

 

 

 

(6

)

 

 

(2.62

%)

Brokerage commissions

 

 

96

 

 

 

118

 

 

 

(22

)

 

 

(18.64

%)

Late and prepayment charges

 

 

211

 

 

 

211

 

 

 

-

 

 

 

0.00

%

Other

 

 

355

 

 

 

200

 

 

 

155

 

 

 

77.50

%

Total noninterest income

 

 

885

 

 

 

758

 

 

 

127

 

 

 

16.75

%

Noninterest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Compensation and benefits

 

 

4,458

 

 

 

3,829

 

 

 

629

 

 

 

16.43

%

Occupancy expense

 

 

1,491

 

 

 

1,425

 

 

 

66

 

 

 

4.63

%

Data processing expenses

 

 

408

 

 

 

448

 

 

 

(40

)

 

 

(8.93

%)

Direct loan expenses

 

 

155

 

 

 

195

 

 

 

(40

)

 

 

(20.51

%)

Insurance and surety bond premiums

 

 

89

 

 

 

82

 

 

 

7

 

 

 

8.54

%

Office supplies, telephone and postage

 

 

300

 

 

 

254

 

 

 

46

 

 

 

18.11

%

FDIC deposit insurance assessment

 

 

68

 

 

 

66

 

 

 

2

 

 

 

3.03

%

Other operating expenses

 

 

1,290

 

 

 

797

 

 

 

493

 

 

 

61.86

%

Total noninterest expense

 

 

8,259

 

 

 

7,096

 

 

 

1,163

 

 

 

16.39

%

Income before income taxes

 

 

1,209

 

 

 

908

 

 

 

301

 

 

 

33.15

%

Provision for income taxes

 

 

268

 

 

 

345

 

 

 

(77

)

 

 

(22.32

%)

Net income

 

$

941

 

 

$

563

 

 

$

378

 

 

 

67.14

%

Earnings per share  for the period:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

0.05

 

 

N/A

 

 

N/A

 

 

N/A

 

Diluted

 

$

0.05

 

 

N/A

 

 

N/A

 

 

N/A

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

5


PDL Community Bancorp and Subsidiaries

Key Metrics

 

 

 

At or for the Quarters Ended

 

 

 

March 31,

 

 

December 31,

 

 

September 30,

 

 

June 30,

 

 

March 31,

 

 

 

2018

 

 

2017

 

 

2017

 

 

2017

 

 

2017

 

Performance Ratios:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

0.41

%

 

 

(1.27

%)

 

 

(1.43

%)

 

 

0.57

%

 

 

0.30

%

Return on average equity

 

 

2.30

%

 

 

(6.74

%)

 

 

(12.93

%)

 

 

4.75

%

 

 

2.43

%

Net interest rate spread (1)

 

 

3.61

%

 

 

3.54

%

 

 

3.58

%

 

 

4.07

%

 

 

3.88

%

Net interest margin (2)

 

 

3.95

%

 

 

3.88

%

 

 

3.86

%

 

 

4.29

%

 

 

4.09

%

Noninterest expense to average assets

 

 

3.61

%

 

 

3.86

%

 

 

6.11

%

 

 

3.56

%

 

 

3.80

%

Efficiency ratio (3)

 

 

86.37

%

 

 

95.26

%

 

 

150.61

%

 

 

78.02

%

 

 

88.08

%

Average interest-earning assets to average interest- bearing liabilities

 

 

135.79

%

 

 

139.76

%

 

 

133.72

%

 

 

125.73

%

 

 

124.86

%

Average equity to average assets

 

 

17.91

%

 

 

18.77

%

 

 

11.05

%

 

 

12.03

%

 

 

12.38

%

Capital Ratios:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total capital to risk weighted assets (bank only)

 

 

20.52

%

 

 

20.73

%

 

 

21.41

%

 

 

17.34

%

 

 

18.16

%

Tier 1 capital to risk weighted assets (bank only)

 

 

19.26

%

 

 

19.48

%

 

 

20.15

%

 

 

16.09

%

 

 

16.91

%

Common equity Tier 1 capital to risk-weighted assets ( bank only)

 

 

19.26

%

 

 

19.48

%

 

 

20.15

%

 

 

16.09

%

 

 

16.91

%

Tier 1 capital to average assets (bank only)

 

 

14.25

%

 

 

14.67

%

 

 

14.91

%

 

 

12.70

%

 

 

13.08

%

Asset Quality Ratios:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for loan losses as a percentage of total loans

 

 

1.37

%

 

 

1.37

%

 

 

1.43

%

 

 

1.43

%

 

 

1.51

%

Allowance for loan losses as a percentage of nonperforming loans

 

 

122.81

%

 

 

97.05

%

 

 

118.32

%

 

 

138.27

%

 

 

134.92

%

Net (charge-offs) recoveries to average outstanding loans during the year

 

 

0.12

%

 

 

(0.64

%)

 

 

0.13

%

 

 

0.04

%

 

 

0.07

%

Non-performing loans as a percentage of total loans

 

 

1.11

%

 

 

1.41

%

 

 

1.21

%

 

 

1.04

%

 

 

1.12

%

Non-performing loans as a percentage of total assets

 

 

0.98

%

 

 

1.23

%

 

 

1.06

%

 

 

0.95

%

 

 

0.98

%

Total non-performing assets as a percentage of total assets

 

 

0.98

%

 

 

1.23

%

 

 

1.06

%

 

 

0.95

%

 

 

0.98

%

Total non-performing assets, accruing loans past due 90 days or more,  and accruing troubled debt restructured loans as a percentage of total assets

 

 

2.25

%

 

 

2.72

%

 

 

2.61

%

 

 

3.05

%

 

 

3.29

%

Other:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Number of offices

 

14

 

 

14

 

 

14

 

 

14

 

 

14

 

Number of full-time equivalent employees

 

192

 

 

177

 

 

171

 

 

178

 

 

177

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1)

Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average rate of average interest-bearing liabilities.

(2)

Net interest margin represents net interest income divided by average total interest-earning assets.

(3)

Efficiency ratio represents noninterest expense divided by the sum of net interest income and noninterest income.

Key metrics calculated on income statement items were annualized where appropriate.

6


PDL Community Bancorp and Subsidiaries

Loan Portfolio

 

 

 

For the Quarters Ended

 

 

 

March 31,

 

 

December 31,

 

 

September 30,

 

 

June 30,

 

 

March 31,

 

 

 

2018

 

 

2017

 

 

2017

 

 

2017

 

 

2017

 

 

 

Amount

 

 

Percent

 

 

Amount

 

 

Percent

 

 

Amount

 

 

Percent

 

 

Amount

 

 

Percent

 

 

Amount

 

 

Percent

 

 

 

(Dollars in thousands)

 

Mortgage loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1-4 family residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investor Owned

 

$

290,509

 

 

 

34.86

%

 

$

287,158

 

 

 

35.51

%

 

$

279,275

 

 

 

35.90

%

 

$

256,989

 

 

 

34.62

%

 

$

237,904

 

 

 

34.62

%

Owner-Occupied

 

 

96,943

 

 

 

11.63

%

 

 

100,854

 

 

 

12.47

%

 

 

99,661

 

 

 

12.81

%

 

 

99,901

 

 

 

13.46

%

 

 

96,085

 

 

 

13.98

%

Multifamily residential

 

 

204,474

 

 

 

24.54

%

 

 

188,550

 

 

 

23.31

%

 

 

177,181

 

 

 

22.78

%

 

 

172,167

 

 

 

23.19

%

 

 

161,833

 

 

 

23.55

%

Nonresidential properties

 

 

158,525

 

 

 

19.03

%

 

 

151,193

 

 

 

18.69

%

 

 

152,692

 

 

 

19.63

%

 

 

155,670

 

 

 

20.97

%

 

 

140,501

 

 

 

20.45

%

Construction and land

 

 

67,971

 

 

 

8.16

%

 

 

67,240

 

 

 

8.31

%

 

 

52,483

 

 

 

6.75

%

 

 

42,116

 

 

 

5.67

%

 

 

37,610

 

 

 

5.47

%

Total mortgage loans

 

 

818,422

 

 

 

98.21

%

 

 

794,995

 

 

 

98.30

%

 

 

761,292

 

 

 

97.87

%

 

 

726,843

 

 

 

97.91

%

 

 

673,933

 

 

 

98.07

%

Nonmortgage loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Business loans

 

 

13,925

 

 

 

1.67

%

 

 

12,873

 

 

 

1.59

%

 

 

15,600

 

 

 

2.01

%

 

 

14,654

 

 

 

1.97

%

 

 

12,434

 

 

 

1.81

%

Consumer loans

 

 

975

 

 

 

0.12

%

 

 

886

 

 

 

0.11

%

 

 

943

 

 

 

0.12

%

 

 

850

 

 

 

0.11

%

 

 

796

 

 

 

0.12

%

Total nonmortgage loans

 

 

14,900

 

 

 

1.79

%

 

 

13,759

 

 

 

1.70

%

 

 

16,543

 

 

 

2.13

%

 

 

15,504

 

 

 

2.09

%

 

 

13,230

 

 

 

1.93

%

 

 

 

833,322

 

 

 

100.00

%

 

 

808,754

 

 

 

100.00

%

 

 

777,835

 

 

 

100.00

%

 

 

742,347

 

 

 

100.00

%

 

 

687,163

 

 

 

100.00

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net deferred loan origination costs

 

 

1,101

 

 

 

 

 

 

 

1,020

 

 

 

 

 

 

 

1,033

 

 

 

 

 

 

 

828

 

 

 

 

 

 

 

732

 

 

 

 

 

Allowance for losses on loans

 

 

(11,409

)

 

 

 

 

 

 

(11,071

)

 

 

 

 

 

 

(11,147

)

 

 

 

 

 

 

(10,655

)

 

 

 

 

 

 

(10,370

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans, net

 

$

823,014

 

 

 

 

 

 

$

798,703

 

 

 

 

 

 

$

767,721

 

 

 

 

 

 

$

732,520

 

 

 

 

 

 

$

677,525

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

7


PDL Community Bancorp and Subsidiaries

Nonperforming Assets

 

 

 

For the Quarters Ended

 

 

 

March 31,

 

 

December 31,

 

 

September 30,

 

 

June 30,

 

 

March 31,

 

 

 

2018

 

 

2017

 

 

2017

 

 

2017

 

 

2017

 

 

 

(Dollars in thousands)

 

Nonaccrual loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1-4 family residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investor owned

 

$

209

 

 

$

1,034

 

 

$

402

 

 

$

571

 

 

$

573

 

Owner occupied

 

 

1,951

 

 

 

2,624

 

 

 

2,630

 

 

 

2,463

 

 

 

1,723

 

Multifamily residential

 

 

 

 

 

521

 

 

 

 

 

 

 

 

 

 

Nonresidential properties

 

 

633

 

 

 

1,387

 

 

 

653

 

 

 

867

 

 

 

1,606

 

Construction and land

 

 

1,097

 

 

 

1,075

 

 

 

1,075

 

 

 

1,008

 

 

 

1,142

 

Nonmortgage loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Business

 

 

30

 

 

 

147

 

 

 

12

 

 

 

12

 

 

 

12

 

Consumer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total nonaccrual loans (not including non-accruing troubled debt restructured loans)

 

$

3,920

 

 

$

6,788

 

 

$

4,772

 

 

$

4,921

 

 

$

5,056

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-accruing troubled debt restructured loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1-4 family residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investor owned

 

$

1,122

 

 

$

1,144

 

 

$

1,168

 

 

$

1,190

 

 

$

1,214

 

Owner occupied

 

 

2,983

 

 

 

2,693

 

 

 

2,698

 

 

 

810

 

 

 

636

 

Multifamily residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonresidential properties

 

 

1,265

 

 

 

783

 

 

 

783

 

 

 

785

 

 

 

780

 

Construction and land

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonmortgage loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Business

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total non-accruing troubled debt restructured loans

 

 

5,370

 

 

 

4,620

 

 

 

4,649

 

 

 

2,785

 

 

 

2,630

 

Total nonaccrual loans

 

$

9,290

 

 

$

11,408

 

 

$

9,421

 

 

$

7,706

 

 

$

7,686

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate owned:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1-4 family residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investor owned

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

Owner occupied

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Multifamily residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonresidential properties

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction and land

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonmortgage loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Business

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total real estate owned

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total nonpeforming assets

 

$

9,290

 

 

$

11,408

 

 

$

9,421

 

 

$

7,706

 

 

$

7,686

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accruing loans past due 90 days or more:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1-4 family residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investor owned

 

$

 

 

$

7

 

 

$

 

 

$

 

 

$

 

Owner occupied

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Multifamily residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonresidential properties

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction and land

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonmortgage loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Business

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total accruing loans past due 90 days or more

 

$

 

 

$

7

 

 

$

 

 

$

 

 

$

 

Accruing troubled debt restructured loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1-4 family residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investor owned

 

$

5,738

 

 

$

6,559

 

 

$

6,594

 

 

$

7,108

 

 

$

6,385

 

Owner occupied

 

 

4,424

 

 

 

4,756

 

 

 

4,784

 

 

 

5,439

 

 

 

7,232

 

Multifamily residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonresidential properties

 

 

1,468

 

 

 

1,958

 

 

 

1,968

 

 

 

4,009

 

 

 

4,036

 

Construction and land

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonmortgage loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Business

 

 

454

 

 

 

477

 

 

 

501

 

 

 

516

 

 

 

546

 

Consumer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total accruing troubled debt restructured loans

 

$

12,084

 

 

$

13,750

 

 

$

13,847

 

 

$

17,072

 

 

$

18,199

 

Total nonperforming assets, accruing loans past due 90 days or more and accruing troubled debt restructured loans

 

$

21,374

 

 

$

25,165

 

 

$

23,268

 

 

$

24,778

 

 

$

25,885

 

Total nonperforming loans to total loans

 

 

1.11

%

 

 

1.41

%

 

 

1.21

%

 

 

1.04

%

 

 

1.12

%

Total nonperforming assets to total assets

 

 

0.98

%

 

 

1.23

%

 

 

1.06

%

 

 

0.95

%

 

 

0.98

%

Total nonperforming assets, accruing loans past due 90 days or more and accruing troubled debt restructured loans to total assets

 

 

2.25

%

 

 

2.72

%

 

 

2.61

%

 

 

3.05

%

 

 

3.29

%

8


 

9